Indian job economy headed for an uptick in hiring

With 51% of recruiters having indicated both new and replacement hiring in their organizations, the Indian job economy is geared up for an uptick in hiring in the post pandemic world. Naukri.com’s Hiring Outlook survey revealed that the appetite for hiring is up as 32% recruiters confirm that they would be hiring for new jobs.

Many businesses were impacted during the pandemic and as a result, job security was threatened across multiple sectors. However, lay-offs are becoming a thing of the past, with just 1% recruiters indicating lay-offs in their organization compared to 36% in the earlier survey. Further, almost 40% of the recruiters expect hiring to go back to pre-pandemic levels in the next three months itself, which is in contrast with the sentiments from an earlier survey wherein only 20% recruiters expected hiring to return to normalcy within three months, the survey said.

Pawan Goyal, Chief Business Officer Naukri.com, said Hiring Outlook showcases an upbeat sentiment amongst the recruiters and consultants. “In fact, employers are also positive about extending increments to their employees. This is a strong indicator that businesses are moving towards auctioning their growth plans and not just survival or business continuity strategies. With digitization being the key priority across companies, it is encouraging to see the IT sector lead hiring in the coming months.”

According to the survey, normalcy on the horizons is foreseen as employers have a positive outlook to extend increments to their employees. 27% recruiters plan to roll out increments greater than 15% in their respective organizations, while the most opted for increment bracket is 5% to 10% as per 35% of the recruiters.

On the other hand, many jobseekers were unsure of switching during the pandemic, but as markets have stabilized, one-third recruiters expect attrition in the range of 10% to 20%, while another 7% foresee attrition levels greater than 20%. The bulk of this is expected from employees with 1 to 5 years of experience.

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With the jobs market back to hiring, recruiters have predicted that retaining and attracting skilled employees will be a challenge in the coming six months. Aligning with that, 45% recruiters are expecting an intense talent crunch and the experience band of 3 to 5 years is expected to be the most impacted.